Highlights
- Netflix board approved a $25bn share repurchase on 22 April, with no expiry date.
- The move follows Netflix abandoning its $83bn bid for Warner Bros' streaming and studio assets.
- Netflix stock has fallen more than 10 per cent since weak Q2 guidance, closing at $93.24 on 22 April.
Earlier this year, Netflix pulled out of an $83 billion deal to acquire Warner Bros' streaming and studio assets after Paramount Skydance made a rival bid for Warner Bros. Discovery. Paramount then paid Netflix a $2.8 billion exit fee.
Co-CEOs Ted Sarandos and Greg Peters had already said the company would restart share buybacks once the deal was off.
Netflix shares have had a rough ride. They hit an all-time high of $134.12 in June 2025, then fell more than 40 per cent when the Warner Bros deal was announced.
The stock climbed back to $107.79 on 16 April after the deal collapsed, but has since dropped more than 10 per cent following weaker-than-expected Q2 guidance in its latest earnings. Netflix closed at $93.24 on 22 April.
The company ended Q1 with $12.3 billion in cash, partly because buybacks were paused during the Warner Bros process.
"Our capital allocation approach is unchanged," the company said in its Q1 shareholder letter, adding that returning cash to shareholders through repurchases remains a key priority after reinvesting in the business.
